Digital transactions decline for third straight month in India

Wednesday, April 5, 2017

MUMBAI: Digital payments, which saw a huge jump post demonetisation, is seeing some form of correction in transaction numbers and value of payments for the third month in a row in 2017. All major forms of digital payments, Immediate Payment Service (IMPS) along with mobile wallets and plastic cards, have seen a reduction in transaction numbers.

IMPS which had shown almost 6 crore transactions worth Rs 48.2 lakh crore for the month of February showed only 5.6 crore transactions worth Rs 45.8 lakh crore. Prepaid issuers or mobile wallet based transactions also suffered a slight fall to 7.4 crore transactions worth Rs 1800 crore from Rs 1870 crore worth of payments through 7.8 crore transactions.

Plastic cards including both debit and credit products have slumped to 190.1 million from 212.3 million transactions.

Amidst the fall the only mode of payment that has been consistently picking up is Unified Payments Interface, the Prime Minister’s pet project, which jumped to 49 lakh in March from 42 lakh transactions in February. The transaction value has jumped to Rs 1970 crore from Rs 1900 crore last month.

Source: Economic Times (link opens in a new window)

digital payments, fintech